Importing CAD DWG files into MS DGN?

Using MicroStation V8i (SELECTseries 3).

I have a CAD DWG file that has an XREF attached, and a paperspace created. MS is failing to open the DWG as an DGN. I suspect it has to do something with it having these things.

How do you open a DWG as a DGN in MS and maintain the XREF attachment and paperspace layout?


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